Wednesday, June 30, 2010
Monday, June 28, 2010
Let's Clean Up Foothill Blvd for the Parade!
One special neighbor in our town, Tracy Black, has been working tirelessly to clean up Foothill Blvd. and now he's on a mission to get more areas cleaned up in time for the big 4th of July Parade hosted by the Rotary Club and the Sunland-Tujunga Neighborhood Council. You too can be a part of the clean up efforts. Paul Krekorian's staff have arranged for supplies and all we need is the people power. Let's clean up in front of all businesses between Mt. Gleason to Sunland Park.
Clean up event is Thursday morning, July 1. Meet at North Valley City Hall, 7747 Foothill to pick your spot, get supplies and join the team.
Our work should be completed by 10 a.m.
Come out and help make a difference in our town. Everyone is invited. Looking forward to seeing you!
Special thanks to the neighbors, CD2 and our businesses for all their support.
See flyer attached and help spread the word.
Sunday, June 27, 2010
STNC Elections - A Review with the City Clerk Election Division
Just an early note that the City Clerk will be announcing soon a meeting with our neighbors on how they did running our 2010 Elections. As soon as the date is announced, I'll let you know. In the meantime, think about the election process from when it began:
- STNC Board approval of Elections Procedures
- Candidate Filing
- Candidate Statements
- Voting
- Election Day
- Results
and
Overall Outreach
This meeting will focus on the entire process that involved the City Clerk.
Due to City Budget cuts, its uncertain if the City Clerk will be doing NC elections in the future. This opportunity for review will help the decision makers when the time comes.
--Cindy Cleghorn
STNC Secretary
- STNC Board approval of Elections Procedures
- Candidate Filing
- Candidate Statements
- Voting
- Election Day
- Results
and
Overall Outreach
This meeting will focus on the entire process that involved the City Clerk.
Due to City Budget cuts, its uncertain if the City Clerk will be doing NC elections in the future. This opportunity for review will help the decision makers when the time comes.
--Cindy Cleghorn
STNC Secretary
Saturday, June 26, 2010
Fireworks around your cats & dogs-keep them apart!
Some helpful info --
Fireworks around your cats & dogs-keep them apart!
Every year the skies light up with beautiful fireworks displays, which we love to watch. To dogs and cats, these bright light bursts and bangs are terrifying and completely stressful. And it's not just the big fireworks display events on the 4th of July, but the weeks before and after when individuals love to have their own backyard fireworks' parties.
Dogs can become irrational when frightened. The instinct to run sets in and the need to escape kicks in so hard they will chew through a door or window frame or even break out a window!
After the 4th of July, too many dogs can be seen running in a blind panic down the streets, and stepping out into the streets. Our local shelters are already full to capacity with stray, un-identifiable dogs and cats. Dogs have super-sensitive ears and can hear sounds up to 4 times the distance as humans can. Loud noises can actually cause pain to their ears!
Here is a list of stress and anxiety behaviors your dog may exhibit:
Trembling
Restlessness
Pacing
Whining, barking
Panting
Hiding
Attention seeking behaviors
Loss of appetite
Loss of house training
Escape behaviors
Destructiveness
What you don't ever want to do:
-Don't take your dog to a fireworks display.
- Don't punish your dog for being frightened
-Don't try to comfort or reassure your dog with petting or telling them its OK when frightened as this just re-enforces nervous behavior. Only reward calm behavior.
-Don't leave your dog outside. They will do anything to get out. If your dog lives outside, this would be the time to bring them indoors.
-Don't leave your dog alone if possible.
What you can do:
-Now is a great time to make sure they have an ID tag on their collar. This should contain a current phone # and address.
-Is your dogs license current? Do you know where your local city shelter is?
-Are they micro-chipped?
-Bring your dog inside and if possible, don't leave them home alone. If you have to leave them alone for a few hours, how about in an enclosed room with the curtains drawn and a fan and/or radio, TV on to block out the noise?
-Have a safe place or den for them to hide - like a crate or covering a table with a blanket, or placing their beds behind a sofa so they can feel safe, secure and comfortable.
-Give them food filled toys or special toys to try and occupy them.
-Vets do dispense doggie downers(sedatives) if you have a pet that get highly stressed. There are many holistic calming products on the market now too.
-If necessary, there are vets, dog day care centers, kennels, and dog sitters to safely, care for your animals. If you lose your dog or find one:
-Make sure you have a current photo to make a flyer. Post flyers!
-Go to your local city shelter.
Ours is
East Valley 14409 Vanowen St, Van Nuys CA 91405 call: 888-4LAPET1 or 888-452-7381, FAX 818-756-9110
West Valley 20655 Plummer Street, Chatsworth, CA 91311 call: 888-4LAPET1 or 888-452-7381, FAX 818-756-9111
Or visit the LA Animal Service Website: http://www.laanimalservices.com
With all that being said, good luck and have fun!
Prepare now so you can have a safe and happy 4th of July.
If you need further help for you and your dog, or have any questions please feel free to contact me.
All the Best,
Lezle Stein
Dog Training & Behavior Specialist
Handle With Care Dog Training
Director of Animal Welfare/ Arroyo Seco Neighborhood Council
Advisor/ Hermon Dog Park
Head Volunteer Trainer/Downtown Dog Rescue
323.225.6700
Fireworks around your cats & dogs-keep them apart!
Every year the skies light up with beautiful fireworks displays, which we love to watch. To dogs and cats, these bright light bursts and bangs are terrifying and completely stressful. And it's not just the big fireworks display events on the 4th of July, but the weeks before and after when individuals love to have their own backyard fireworks' parties.
Dogs can become irrational when frightened. The instinct to run sets in and the need to escape kicks in so hard they will chew through a door or window frame or even break out a window!
After the 4th of July, too many dogs can be seen running in a blind panic down the streets, and stepping out into the streets. Our local shelters are already full to capacity with stray, un-identifiable dogs and cats. Dogs have super-sensitive ears and can hear sounds up to 4 times the distance as humans can. Loud noises can actually cause pain to their ears!
Here is a list of stress and anxiety behaviors your dog may exhibit:
Trembling
Restlessness
Pacing
Whining, barking
Panting
Hiding
Attention seeking behaviors
Loss of appetite
Loss of house training
Escape behaviors
Destructiveness
What you don't ever want to do:
-Don't take your dog to a fireworks display.
- Don't punish your dog for being frightened
-Don't try to comfort or reassure your dog with petting or telling them its OK when frightened as this just re-enforces nervous behavior. Only reward calm behavior.
-Don't leave your dog outside. They will do anything to get out. If your dog lives outside, this would be the time to bring them indoors.
-Don't leave your dog alone if possible.
What you can do:
-Now is a great time to make sure they have an ID tag on their collar. This should contain a current phone # and address.
-Is your dogs license current? Do you know where your local city shelter is?
-Are they micro-chipped?
-Bring your dog inside and if possible, don't leave them home alone. If you have to leave them alone for a few hours, how about in an enclosed room with the curtains drawn and a fan and/or radio, TV on to block out the noise?
-Have a safe place or den for them to hide - like a crate or covering a table with a blanket, or placing their beds behind a sofa so they can feel safe, secure and comfortable.
-Give them food filled toys or special toys to try and occupy them.
-Vets do dispense doggie downers(sedatives) if you have a pet that get highly stressed. There are many holistic calming products on the market now too.
-If necessary, there are vets, dog day care centers, kennels, and dog sitters to safely, care for your animals. If you lose your dog or find one:
-Make sure you have a current photo to make a flyer. Post flyers!
-Go to your local city shelter.
Ours is
East Valley 14409 Vanowen St, Van Nuys CA 91405 call: 888-4LAPET1 or 888-452-7381, FAX 818-756-9110
West Valley 20655 Plummer Street, Chatsworth, CA 91311 call: 888-4LAPET1 or 888-452-7381, FAX 818-756-9111
Or visit the LA Animal Service Website: http://www.laanimalservices.com
With all that being said, good luck and have fun!
Prepare now so you can have a safe and happy 4th of July.
If you need further help for you and your dog, or have any questions please feel free to contact me.
All the Best,
Lezle Stein
Dog Training & Behavior Specialist
Handle With Care Dog Training
Director of Animal Welfare/ Arroyo Seco Neighborhood Council
Advisor/ Hermon Dog Park
Head Volunteer Trainer/Downtown Dog Rescue
323.225.6700
Thursday, June 24, 2010
Baseline Hillside Ordinance & Baseline Mansionization Ordinance Sunset Update
Greetings All:
You haven't heard from us in a while, so we wanted to make sure you are all brought up to up to speed. We have also included answers to our most frequently asked questions.
City Planning Commission Action
The City Planning Commission Determination Letter on it's May 27, 2010 recommendation for the Baseline Hillside Ordinance (CPC-2010-581-CA) was sent to the City Clerk's Office on June 8, 2010 for their processing and was assigned Council File Number of 10-1001. They have created the equivalent of an electronic case file. If you go to the following link, you can subscribe to receive direct email from the City Clerk whenever the "file" is updated (look for the envelope at the top of the webpage): http://cityclerk.lacity.org/lacityclerkconnect/index.cfm?fa=ccfi.viewrecord&cfnumber=10-1001
You can download the Planning Department documents listed below by following the links:
April 22, 2010 City Planning Commission Staff Report: http://planning.lacity.org/StaffRpt/InitialRpts/CPC-2010-581.pdf
May 27, 2010 City Planning Commission Staff Report: http://planning.lacity.org/Code_Studies/BaselineHillsideOrd/CPC-2010-581-CA052710SRpt.pdf
City Planning Commission Determination Letter: http://clkrep.lacity.org/onlinedocs/2010/10-1001_rpt_plan_6-8-10.pdf
What's Next?
We are still waiting to find out when the Baseline Hillside Ordinance will be heard by the Planning and Land Use Management (PLUM) Committee. PLUM is a Subcommittee of the City Council that reviews all planning related matters. The Department of City Planning does not have any control over the timing/scheduling of PLUM agendas. From what we have heard, they are likely to hear this proposal sometime in mid- to late-July. When we are given a specific date, we will send an email to the interest list.
There are still at least 4 steps left to go before the Ordinance is officially adopted, which have been summarized below:
A PLUM Committee recommendation to the full City Council;
The preparation of the official Baseline Hillside Ordinance (a legal description of the changes to the Code that would incorporate the proposed hillside provisions) by the City Attorney's Office, among other City Charter mandated steps taken by their Office;
The adoption of the proposed Ordinance by the City Council; and
The signature of the Mayor.
Once these steps have been taken, the City Clerk's Office will post the adopted Ordinance for a period of 10 days and a 30-day effective date will begin after that.
It is important to note that the City Council goes into a recess period in August and is not likely to act on this Ordinance in that month. It is not likely that the Council will act on this item in the month of July, since the City Attorney's Office needs time to prepare the documents mandated by the City Charter. This means that we are possibly looking at sometime in September as the earliest date for an official City Council action.
Projects in Early Design Stages or Submitted for Discretionary Actions
For those of individuals working on projects which are currently in the early design stages or is waiting for a discretionary action of some sort, please use the information above to gauge whether you will be able to submit for plan check prior to the effective date of the proposed Baseline Hillside Ordinance. Just to clarify for all, any property zoned R1, RS, RE, or RA which is designated as Hillside Area pursuant to Section 12.03 of the Los Angeles Municipal Code (LAMC) will eventually be subject to the Baseline Hillside Ordinance if it is adopted by the City Council; please refer to ZIMAS (http://zimas.ci.la.ca.us/) under the "Planning and Zoning" tab to find your "Hillside Area (Zoning Code)" designation.
Pursuant to Section 12.26 A.3 of the LAMC, any project which is accepted by the Department of Building and Safety for plan check with a complete set of plans and for which the fees have been paid prior to the effective date of an Ordinance will be considered to be a Vested Development Plan; meaning that the applicable regulations in place prior to this change will continue to apply. However, there are some limitations to this provision that you should be aware of, but the more relevant ones are that you have 18 months after the fee is paid, and that you cannot make changes to those plans which increase or decrease the height, floor area, or occupant load of the proposed structure by more than 5%. Feel free to reference our online Municipal Code for more details (http://www.amlegal.com/nxt/gateway.dll?f=templates&fn=default.htm&vid=amlegal:lamc_ca); go to Chapter 1, Article 2, Section 12.26, Subsection A, Subdivision 3.
The only way to "vest" a typical single-family development project under the current Code is through the Vested Development Plan provision summarized above. Applications for, or approval of discretionary actions (i.e. Zoning Administration Determinations, Adjustments, Variances, etc.) prior to the effective date does not confer vesting rights to a project. If you are not able to submit for plan check to the Department of Building & Safety prior to the effective date of the Baseline Hillside Ordinance, it is recommended that you consider the proposed hillside provision when making design choices or determining a course of action.
Baseline Mansionization Ordinance Sunset Extension
The June 29, 2010 sunset date for the Baseline Mansionization Ordinance (the "flats" Ordinance - does not apply to Hillside Area or Coastal Zone) was extended for a period of 90 days by the City Council on June 22, 2010. The new sunset date is September 27, 2010, which should give us enough time to get to the City Council if the August Recess scenario plays out; the Resolution left open the possibility of further extensions should they need more time.
The following link will take you directly to the City Council Resolution: http://clkrep.lacity.org/onlinedocs/2010/10-1058_CA_06-22-10.pdf
Feel free to forward this information to anyone you feel might be interested.
If you received this email via forwarded message from someone other than myself, and you want to obtain updates directly from the Department, please email erick.lopez@lacity.org and ask to be added to the interest list. Please type "Add Me To Hillside Notification List" in the subject line and provide your group/organization/company affiliations and contact information (please include at least your ZIP Code).
Facebook™ Users: Look for the Baseline Hillside Ordinance page; add the page and receive updates in your news feed. You can also view our events calendar and participate in discussion boards.
As always, if you have any questions please do not hesitate to contact myself or Jennifer Driver at jennifer.driver@lacity.org or at (818) 374-5034.
Thank you for your time and attention.
__________________________________________
Erick Lopez
City Planner
Department of City Planning
Community Planning Bureau - West Coastal Division
200 N. Spring St., Room 621
Los Angeles, CA 90012
(213) 978-1243
(213) 978-1226 - fax
erick.lopez@lacity.org
You haven't heard from us in a while, so we wanted to make sure you are all brought up to up to speed. We have also included answers to our most frequently asked questions.
City Planning Commission Action
The City Planning Commission Determination Letter on it's May 27, 2010 recommendation for the Baseline Hillside Ordinance (CPC-2010-581-CA) was sent to the City Clerk's Office on June 8, 2010 for their processing and was assigned Council File Number of 10-1001. They have created the equivalent of an electronic case file. If you go to the following link, you can subscribe to receive direct email from the City Clerk whenever the "file" is updated (look for the envelope at the top of the webpage): http://cityclerk.lacity.org/lacityclerkconnect/index.cfm?fa=ccfi.viewrecord&cfnumber=10-1001
You can download the Planning Department documents listed below by following the links:
April 22, 2010 City Planning Commission Staff Report: http://planning.lacity.org/StaffRpt/InitialRpts/CPC-2010-581.pdf
May 27, 2010 City Planning Commission Staff Report: http://planning.lacity.org/Code_Studies/BaselineHillsideOrd/CPC-2010-581-CA052710SRpt.pdf
City Planning Commission Determination Letter: http://clkrep.lacity.org/onlinedocs/2010/10-1001_rpt_plan_6-8-10.pdf
What's Next?
We are still waiting to find out when the Baseline Hillside Ordinance will be heard by the Planning and Land Use Management (PLUM) Committee. PLUM is a Subcommittee of the City Council that reviews all planning related matters. The Department of City Planning does not have any control over the timing/scheduling of PLUM agendas. From what we have heard, they are likely to hear this proposal sometime in mid- to late-July. When we are given a specific date, we will send an email to the interest list.
There are still at least 4 steps left to go before the Ordinance is officially adopted, which have been summarized below:
A PLUM Committee recommendation to the full City Council;
The preparation of the official Baseline Hillside Ordinance (a legal description of the changes to the Code that would incorporate the proposed hillside provisions) by the City Attorney's Office, among other City Charter mandated steps taken by their Office;
The adoption of the proposed Ordinance by the City Council; and
The signature of the Mayor.
Once these steps have been taken, the City Clerk's Office will post the adopted Ordinance for a period of 10 days and a 30-day effective date will begin after that.
It is important to note that the City Council goes into a recess period in August and is not likely to act on this Ordinance in that month. It is not likely that the Council will act on this item in the month of July, since the City Attorney's Office needs time to prepare the documents mandated by the City Charter. This means that we are possibly looking at sometime in September as the earliest date for an official City Council action.
Projects in Early Design Stages or Submitted for Discretionary Actions
For those of individuals working on projects which are currently in the early design stages or is waiting for a discretionary action of some sort, please use the information above to gauge whether you will be able to submit for plan check prior to the effective date of the proposed Baseline Hillside Ordinance. Just to clarify for all, any property zoned R1, RS, RE, or RA which is designated as Hillside Area pursuant to Section 12.03 of the Los Angeles Municipal Code (LAMC) will eventually be subject to the Baseline Hillside Ordinance if it is adopted by the City Council; please refer to ZIMAS (http://zimas.ci.la.ca.us/) under the "Planning and Zoning" tab to find your "Hillside Area (Zoning Code)" designation.
Pursuant to Section 12.26 A.3 of the LAMC, any project which is accepted by the Department of Building and Safety for plan check with a complete set of plans and for which the fees have been paid prior to the effective date of an Ordinance will be considered to be a Vested Development Plan; meaning that the applicable regulations in place prior to this change will continue to apply. However, there are some limitations to this provision that you should be aware of, but the more relevant ones are that you have 18 months after the fee is paid, and that you cannot make changes to those plans which increase or decrease the height, floor area, or occupant load of the proposed structure by more than 5%. Feel free to reference our online Municipal Code for more details (http://www.amlegal.com/nxt/gateway.dll?f=templates&fn=default.htm&vid=amlegal:lamc_ca); go to Chapter 1, Article 2, Section 12.26, Subsection A, Subdivision 3.
The only way to "vest" a typical single-family development project under the current Code is through the Vested Development Plan provision summarized above. Applications for, or approval of discretionary actions (i.e. Zoning Administration Determinations, Adjustments, Variances, etc.) prior to the effective date does not confer vesting rights to a project. If you are not able to submit for plan check to the Department of Building & Safety prior to the effective date of the Baseline Hillside Ordinance, it is recommended that you consider the proposed hillside provision when making design choices or determining a course of action.
Baseline Mansionization Ordinance Sunset Extension
The June 29, 2010 sunset date for the Baseline Mansionization Ordinance (the "flats" Ordinance - does not apply to Hillside Area or Coastal Zone) was extended for a period of 90 days by the City Council on June 22, 2010. The new sunset date is September 27, 2010, which should give us enough time to get to the City Council if the August Recess scenario plays out; the Resolution left open the possibility of further extensions should they need more time.
The following link will take you directly to the City Council Resolution: http://clkrep.lacity.org/onlinedocs/2010/10-1058_CA_06-22-10.pdf
Feel free to forward this information to anyone you feel might be interested.
If you received this email via forwarded message from someone other than myself, and you want to obtain updates directly from the Department, please email erick.lopez@lacity.org and ask to be added to the interest list. Please type "Add Me To Hillside Notification List" in the subject line and provide your group/organization/company affiliations and contact information (please include at least your ZIP Code).
Facebook™ Users: Look for the Baseline Hillside Ordinance page; add the page and receive updates in your news feed. You can also view our events calendar and participate in discussion boards.
As always, if you have any questions please do not hesitate to contact myself or Jennifer Driver at jennifer.driver@lacity.org or at (818) 374-5034.
Thank you for your time and attention.
__________________________________________
Erick Lopez
City Planner
Department of City Planning
Community Planning Bureau - West Coastal Division
200 N. Spring St., Room 621
Los Angeles, CA 90012
(213) 978-1243
(213) 978-1226 - fax
erick.lopez@lacity.org
Tuesday, June 22, 2010
LUC Recommendations for 6-21-10
At the June 21, 2010 Land Use Committee the owner and architect presented plans at 8505 Foothill Bl., Sunland (Mobil Station) for the removal of an existing auto repair business and installation of a self-serve car wash. The committee reviewed the plans as presented, asked many questions. The Environmental Review document was also reviewed. The committee voted to recommend that the STNC supports the plans to the Zoning Administrator who will be hearing the Conditional Use public hearing. The committee further requests that the Zoning Administrator consider additional noise mitigations to protect the adjacent residential uses.
The committee also reviewed and approved a letter to the City regarding 7602 W. Apperson. This is the Classic Collision Center site at Apperson and Plainview. The applicant's plans for development of that site are too out of scale. The 5 page letter is being submitted in response to the Mitigated Negative Declaration which has a cut off for comments of June 23, 2010. Neighbors in the audience also spoke in opposition to the out of scale plans.
The next meeting of the Land Use Committee will be Monday, July 19, 2010 at 7 p.m. For more information on the LUC, contact Tomi Lyn Bowling at tomi@tomirealty.com
The committee also reviewed and approved a letter to the City regarding 7602 W. Apperson. This is the Classic Collision Center site at Apperson and Plainview. The applicant's plans for development of that site are too out of scale. The 5 page letter is being submitted in response to the Mitigated Negative Declaration which has a cut off for comments of June 23, 2010. Neighbors in the audience also spoke in opposition to the out of scale plans.
The next meeting of the Land Use Committee will be Monday, July 19, 2010 at 7 p.m. For more information on the LUC, contact Tomi Lyn Bowling at tomi@tomirealty.com
Thursday, June 10, 2010
City Controller Audits LADWP
CONTROLLER GREUEL RELEASES AUDIT PROVING DWP COULD HAVE TRANSFERRED DISPUTED $73.5 MILLION TO CITY
Independent Audit Reveals None of the Reasons Given by the
DWP for Refusing to Make Power Revenue Transfer Were Correct
(Los Angeles) – City Controller Wendy Greuel released an audit today of the Los Angeles Department of Water and Power’s (DWP) financial condition exposing that the Department did in fact have enough money to transfer the disputed $73.5 million to the City of Los Angeles. The Department also did not need a controversial Energy Cost Adjustment Factor (ECAF) increase to complete the Power Revenue Transfer.
“I can say with 100% certainty that the DWP did have the $73.5 million available to transfer to the City, and could have done so without putting itself in ANY financial jeopardy,” said City Controller Greuel.“My audit lays out in detail, that none of the reasons given by the DWP for refusing to transfer the money are supported by facts.As of April 1st, the DWP’s Power Revenue Fund had approximately $752 million dollars in it, more than enough money to transfer the $73.5 million to the City.”
The audit stems from the recent Energy Cost Adjustment Factor (ECAF) fiasco which left many questions about the DWP’s financial condition unanswered. On April 5th, 2010, the DWP sent a letter to Controller Greuel which presented 5 main reasons why it could not transfer the $73.5 million.To provide an independent assessment of the situation, the Controller commissioned a review to examine the DWP’s rationale and determine whether their reasons held up to scrutiny.
“It’s hard to look at these numbers and not say that the DWP was trying to extort the City Council into passing its proposed ECAF increase.This audit is clear, there needs to be greater transparency at the DWP.The insulated culture and the lack of accountability in the Department must change,” said City Controller Greuel.“The DWP has lost the trust of the public through this debacle and it will require dramatic steps over the coming months and years to rebuild the confidence of the ratepayers.”
Some of the specific findings of the audit include:
The DWP had done a financial projection without an ECAF increase and their own numbers showed they would be able to maintain their targeted fund balances even after completing a full Power Revenue Transfer to the City.
The DWP claimed that they needed to increase their Reserve Fund from $150 million to $300 million to maintain their bond rating.After reviewing credit rating analysis and documents from DWP’s own financial advisor, there is no evidence that having $300 million in their reserve fund is required to maintain their bond rating.Bond ratings take into account many factors, and are not based on one specific criterion.
The DWP also claimed they needed to maintain their bond rating for an upcoming $1.21 billion bond sale.They needed to sell these bonds to backfill their admitted practice of using operating revenue to pay for capital expenditures.This dangerous policy put the DWP at far greater risk than transferring $73.5 million to the City.
Independent Audit Reveals None of the Reasons Given by the
DWP for Refusing to Make Power Revenue Transfer Were Correct
(Los Angeles) – City Controller Wendy Greuel released an audit today of the Los Angeles Department of Water and Power’s (DWP) financial condition exposing that the Department did in fact have enough money to transfer the disputed $73.5 million to the City of Los Angeles. The Department also did not need a controversial Energy Cost Adjustment Factor (ECAF) increase to complete the Power Revenue Transfer.
“I can say with 100% certainty that the DWP did have the $73.5 million available to transfer to the City, and could have done so without putting itself in ANY financial jeopardy,” said City Controller Greuel.“My audit lays out in detail, that none of the reasons given by the DWP for refusing to transfer the money are supported by facts.As of April 1st, the DWP’s Power Revenue Fund had approximately $752 million dollars in it, more than enough money to transfer the $73.5 million to the City.”
The audit stems from the recent Energy Cost Adjustment Factor (ECAF) fiasco which left many questions about the DWP’s financial condition unanswered. On April 5th, 2010, the DWP sent a letter to Controller Greuel which presented 5 main reasons why it could not transfer the $73.5 million.To provide an independent assessment of the situation, the Controller commissioned a review to examine the DWP’s rationale and determine whether their reasons held up to scrutiny.
“It’s hard to look at these numbers and not say that the DWP was trying to extort the City Council into passing its proposed ECAF increase.This audit is clear, there needs to be greater transparency at the DWP.The insulated culture and the lack of accountability in the Department must change,” said City Controller Greuel.“The DWP has lost the trust of the public through this debacle and it will require dramatic steps over the coming months and years to rebuild the confidence of the ratepayers.”
Some of the specific findings of the audit include:
The DWP had done a financial projection without an ECAF increase and their own numbers showed they would be able to maintain their targeted fund balances even after completing a full Power Revenue Transfer to the City.
The DWP claimed that they needed to increase their Reserve Fund from $150 million to $300 million to maintain their bond rating.After reviewing credit rating analysis and documents from DWP’s own financial advisor, there is no evidence that having $300 million in their reserve fund is required to maintain their bond rating.Bond ratings take into account many factors, and are not based on one specific criterion.
The DWP also claimed they needed to maintain their bond rating for an upcoming $1.21 billion bond sale.They needed to sell these bonds to backfill their admitted practice of using operating revenue to pay for capital expenditures.This dangerous policy put the DWP at far greater risk than transferring $73.5 million to the City.
Subscribe to:
Posts (Atom)